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iPackets Sees Continued Growth in China in Light of the Chinese Government's Decision to Spend $60 Billion on Safety Over the Next Five Years

VANCOUVER, BC -- (MARKET WIRE) -- September 18, 2006 -- iPackets International, Inc. ("iPackets")
(PINKSHEETS: IPKL), a developer and provider of wireless communications
solutions for the global mine-safety industry, announced today that the
recent announcement by the central Chinese government to spend $60 billion
over the next five years on safety will have a direct impact on iPackets'
continued efforts in the mine-safety industry in China.

According to State Administration of Work Safety (SAWS) official, "the
money will be spent in nine areas, ranging from coal mine accident
prevention, checking for potential accidents, technological innovations and
rescue efforts to enforcement of regulations and laws as well personnel
training." During its August 31, 2006 meeting, SAWS laid the foundation for
underground miner tracking system standards. The standards can be viewed on
SAWS' web site www.chinasafety.gov.cn (Chinese language only).

Recently the province of Shanxi, the largest coal mining province in China,
passed a regulation that requires all coal mines in the province must
install an underground miner monitoring and communication system. This is
similar to the U.S. MINER Act of 2006 that was signed into law by President
George Bush in June 2006.

iPackets president and CEO commented: "The global mining industry is
enjoying a rapid growth and mining operations are under pressure to enhance
mine-safety measures. The recent announcement of the Chinese central
government to increase its spending on safety measures will provide
state-owned mines with the required funding to acquire mine-safety
solutions, such as our iPMine system. With respect to the Shanxi province
recent
mine-safety mandate, iPackets has recognized the importance of the coal
mining industry in Shanxi and in May 2006 successfully demonstrated its
iPMine system to the 7th largest coal mining operation in China, based in
Shanxi. These two announcements will have a significant impact on our
growth and quest of being the premium two-way wireless mine-safety solution
servicing the mine-safety industry globally."

About the Mining and Mine Safety Industries in China

China comprises more than 280,000 mining enterprises, of which 80,000 are
state-owned. There are over 25,000 state-owned coal mines in China, of
which over 700 are classified as large mines. Mine safety has been a major
issue in the Chinese mining industry, with more than 6,000 miners killed in
mining-related accidents in China last year; independent estimates say the
real figure could be as high as 20,000. According to Chinese government
statistics, more than 12.2 million people were employed as miners in 2005,
and approximately 7.0 million of these were coal miners.

About iPackets International, Inc. and iPMine

iPackets International is a developer and provider of wireless
communications solutions for the global mine-safety industry. iPMine,
designed to significantly improve the safety of miners and equipment, is a
real-time two-way wireless communications solution that tracks, monitors,
and communicates with miners and equipment underground and above ground.
Location information of both miners and equipment is collected and
displayed live on one or more monitoring stations against a background of a
mine's terrain map. iPMine's scalability and flexibility features make it
ideal to be deployed in any size mine supporting multiple levels and/or
sites. iPMine's redundant communications feature makes the system highly
reliable to efficiently operate in the harsh mining environment. For more
information, please visit www.ipackets.com.

Certain statements included in this press release may constitute
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995. These forward-looking statements relate to,
among other things, plans and timing for the introduction or enhancement of
our services and products, statements about future market conditions,
supply and demand conditions, and other expectations, intentions and plans
contained in this press release that are not historical fact and involve
risks and uncertainties. Our expectations regarding future revenues depend
upon our ability to develop and supply products and services that meet
defined specifications. When used in this press release, the words "plan,"
"expect," "believe," and similar expressions generally identify
forward-looking statements. These statements reflect our current
expectations.